Kochi top real estate destination among 19 Tier II cities in India

Kochi bags the top positions because of its superior connectivity, economic activity, project delivery track record and low inventory.

Kochi has topped the list of best real estate destinations among 19 Tier-ll cities in India on the back of robust housing demand and better project execution, according to a report.

The study by PropEquity also found that the total market size of the 19 tier II cities in terms of annual sales stood at Rs 32,600 crore, which is 20% of the total market size of 14 tier I cities.

Gurgaon-based PropEquity, an online subscription based real estate data and analytics platform, said the rankings are based on 10 key parameters including price, supply, sales, unsold inventory, and new launch trends.

The study has looked at execution delays and the size of the market in value terms.

The bottom four cities in the list are Agra, Lucknow, Bhiwadi and Mohali are from the Northern region.

Kochi bags the top positions because of its superior connectivity, economic activity, project delivery track record and low inventory, the report said, adding that the city also witnessed highest absorption in new launches.

"In top 10 cities, six are from south India as this region is end-user market. The developers in souther region are focusing on construction and delivery. Supply-demand mismatch and delays are much lesser," PropEquity MD and Founder Samir Jasuja told reporters here.

He also said that although Tier II-III cities performed better, they too have been adversely affected due to current slowdown, which has severely impacted the tier I cities.

Housing sales in the 19 tier II cities fell by 17% as against a 32% decline in the top 14 Tier I cities in the last two years.

"On the other hand, the launch prices of tier II cities increased at an annual rate of 9% compared to 10% for Tier I cities," the report said.

Southern cities have proven to be resilient, and their conservative nature in even better times actually has helped them sustain traction in the troubled times that the industry is going through, it added.

On market size, Jasuja said: "Size of the 19 tier II cities put together is 20% of the total size of the top 14 tier I cities".

#Kochi top real estate destination among 19 Tier II cities in #IndiaRankings are based on 10 key parameters including...

Latest Realty News

NEW DELHI: The central government is working on putting in place a single window time-bound clearance system for layout approvals and building permissions by the beginning of next year, housing and urban development minister M Venkaiah Naidu said.

BENGALURU: More than 50 real estate agents and brokers on Tuesday morning attacked the headquarters of NoBroker, a home rental startup, at HSR Layout in southeast Bengaluru. They picketed the online house-hunting marketplace and shouted slogans, saying the company was ruining their livelihood.

VISAKHAPATNAM: Demanding that the AP government immediately look into the shortage of sand in the district, representatives of the Confederation of Real Estate Developers Association of India (Credai)'s Vizag zone threatened the government that builders will stop all civil works in the city from September 21 unless it does something to resolve the issue. The association urged chief minister N Chandrababu Naidu to intervene in the matter.

HYDERABAD: Andhra Pradesh has cancelled an agreement with Unitech Ltd for Integrated Vizag Knowledge City project in Visakhapatnam and forfeited Rs 255 crore, the firm paid for the land, for failing to meet targets.

Rapid urbanisation is setting the pace of the Indian construction industry and, by extension, the construction chemicals market. The government’s ambitious ‘Housing for All’ and ‘100 Smart Cities’ programs are key growth drivers for the construction chemicals sector.

Leading non-banking financial company (NBFC) Fullerton India Credit Company Ltd, a fully owned subsidiary of Singapore-based Fullerton Financial Holdings, has decided to float a housing finance company by November this year.

A sprawling seaside mansion in Mumbai, whose former owners include the US government and an Indian Maharaja, has been sold for Rs7.5bn ($113m) in the most expensive residential property deal in India’s history.

NEW DELHI: The real estate market in India has matured after the slowdown and investors now have a more realistic view about returns these days, says Robert Marten, managing director, Global Real Estate Institute (GRI), a global club of senior real estate investors, developers and lenders.

MASAIPET (Nalgonda): The grandiose plans for developing Yadadri on the lines of Tirumala, which were unveiled by the state government a few months ago, have begun taking a severe toll on the environment in the temple town. Large scale destruction of hillocks and felling of trees as well as conversion of agricultural lands into residential plots has become the order of the day, transforming the landscape of Yadagirigutta for miles around.